LONDON: Libya’s sovereign wealth fund will appoint auditors within weeks and conclude a wide-ranging examination of its assets by 2019 as part of its efforts to get billions of dollars of assets unfrozen, the fund’s head said.
Ali Mahmoud Hassan Mohamed, the chairman and chief executive of the Libyan Investment Authority (LIA), said financial auditing and consulting company PriceWaterhouseCoopers (PwC) was one of the firms the fund was considering.
About 70 percent of the LIA’s $67 billion worth of assets have been frozen under United Nations sanctions since the toppling of veteran ruler Muammar Qaddafi in 2011 pushed the country into turmoil.
UN diplomats say they want to see a stable government in Libya before relaxing the sanctions.
“We want to strengthen the trust of the international community in the Libyan Investment Authority. We are cooperating with the United Nations and adhering to their sanctions,” Mohamed said in an interview in London.
“We are making reforms from top to bottom and carrying out an audit that can be used by the UN to check the assets of the LIA,” he said, speaking through a translator.
Libya’s economy has collapsed, and the fund could eventually be an important source of finance for the war-torn country. But it has long been hampered by a leadership dispute between rival factions in Tripoli and eastern Libya. Mohamed said he had ended some of those divisions by merging departments and offices.
“We need to enhance our governance. Political splits damaged the Libyan Investment Authority. Our assets were frozen in order to protect them,” he said.
Asked about reports on funds that had been transferred out of European bank accounts linked to LIA, Mohammed said that stemmed from dividends and interest paid on holdings of equities and fixed income instruments. The asset freeze only applied to the equity itself or the principal of the bonds, he said.
“These revenues from equity dividends are worth hundreds of millions every year. We have received those since 2011,” he said, adding more than $1 billion had been transferred to LIA’s accounts at Arab Bank Corporation (ABC) in Bahrain from custodian bank accounts in Belgium and Luxembourg since 2011.
“Money withdrawn from ABC bank was used to pay for the operational costs of the LIA. We have statements dating back to 2011,” he said, adding he had full control over the accounts and no money had disappeared.
Around $8.5 billion of LIA’s assets were invested in global equities and some $1.5 billion in bonds, according to Mohamed.
Mohamed also said all the fund’s Tripoli-based staff had now moved out of the Tripoli Tower office block to a different, undisclosed location in the city, amid security breaches that saw a number of employees threatened or abducted by militias.
Tripoli is largely controlled by a handful of powerful armed groups claiming official status that have expanded their economic interests, penetrated key institutions and frequently abducted rivals with impunity. LIA said it employs 140 people directly though more than 1000 including its subsidiaries.
Libyan wealth fund to hire auditors in push to unfreeze assets
Libyan wealth fund to hire auditors in push to unfreeze assets
- Libya SWF chief: need to up governance, auditing to unfreeze assets
- Over $1 bln in LIA money moved from Europe to Bahrain since 2011
Closing Bell: Saudi benchmark index closes lower at 10,540
RIYADH: Saudi equities ended Wednesday’s session lower, with the Tadawul All Share Index falling 55.13 points, or 0.52 percent, to close at 10,540.72.
The sell-off was mirrored across other indices, with the MSCI Tadawul 30 Index retreating 5.79 points, or 0.41 percent, to close at 1,393.32, while the parallel market Nomu slipped 74.56 points, or 0.32 percent, to 23,193.21.
Market breadth remained firmly negative, as decliners outpaced advancers, with 207 stocks ending the session lower against just 51 gainers on the main market.
Trading activity moderated compared to recent sessions, with volumes reaching 123.5 million shares, while total traded value stood at SR2.72 billion ($725.2 million).
On the sectoral and stock level, Al Moammar Information Systems Co. led the gainers after surging 9.96 percent to close at SR172.30, extending its rally following a series of contract announcements tied to data center and IT infrastructure projects.
Al Masar Al Shamil Education Co. climbed 4.89 percent to SR27.48, while Naqi Water Co. advanced 3.36 percent to SR58.50. Al Yamamah Steel Industries Co. and Al-Jouf Agricultural Development Co. also posted solid gains, rising 3 percent and 2.86 percent, respectively.
Losses, however, were concentrated in industrial names. Saudi Kayan Petrochemical Co. fell 3.67 percent to SR4.73, while Makkah Construction and Development Co. slid 3.44 percent to SR80.
Saudi Tadawul Group Holding Co. retreated 3.28 percent to SR147.50, weighed down by broader market weakness, and Saudi Cable Co. declined 3.18 percent to SR143.
Alkhaleej Training and Education Co. rounded out the top losers, shedding just over 3 percent.
On the announcement front, BinDawood Holding announced the signing of a share purchase agreement to acquire 51 percent of Wonder Bakery LLC in the UAE for 96.9 million dirhams, marking a strategic expansion of its food manufacturing footprint beyond Saudi Arabia.
The acquisition, which remains subject to regulatory approvals, is expected to support the group’s regional growth ambitions and strengthen supply chain integration.
BinDawood shares closed at SR4.68, up 0.43 percent, reflecting a positive market reaction to the overseas expansion move.
Meanwhile, Al Moammar Information Systems disclosed the contract sign-off for the renewal of IT systems support licenses with the Saudi Central Bank, valued at SR114.4 million, inclusive of VAT.
The 36-month contract is expected to have a positive financial impact starting from fourth quarter of 2025, reinforcing MIS’s position as a key technology partner for critical government institutions. The stock surged to the session’s limit making it the top gainer.
In a separate disclosure, Maharah Human Resources confirmed the completion of the sale of its entire stake in Care Shield Holding Co. through its subsidiary, Growth Avenue Investments, for a total consideration of SR434.3 million.
The transaction involved the transfer of 41.36 percent of Care Shield’s share capital to Dallah Healthcare, with Maharah receiving the full cash proceeds.
Despite the strategic divestment, Maharah shares closed lower, ending the session at SR6.12, down 1.29 percent.
